Germany’s central bank, the Bundesbank, sees a recession in the country as likely, while it expects inflation to be on the rise and could peak above 10% this fall. With its massive industry heavily dependent on Russian gas, Germany is among the most vulnerable to any disruption in energy supplies, and the increased costs are […]
Tag: Bundesbank
H. Nagel-Bundesbank: The ECB should continue to raise interest rates
The European Central Bank should keep raising interest rates, according to Bundesbank chief Joachim Nagel, who warned that Germany faces a recession if the energy situation escalates. “Given high inflation, further rate hikes must follow,” Nagel told the Rheinische Post in an interview, declining to put a number on what he expects for the next […]
Reuters: The Bundesbank reacts to the ECB’s plan to support the countries of the South
Bundesbank President Joachim Nagel hit back at the European Central Bank’s promise to offer fresh support to heavily indebted southern countries at last month’s emergency meeting, rekindling the rift between the ECB and its biggest shareholder, sources told Reuters. ECB policymakers pledged to buy more bonds from indebted countries at an unscheduled meeting on June […]
Bundesbank: cuts growth estimates, forecasts significantly higher inflation in Germany
The Bundesbank cut its outlook for the German economy and forecast significantly higher inflation as rising food and fuel prices hit household purchasing power and confidence. The German central bank now expects prices to rise 7.1% in 2022, well above the 3.6% forecast in December while the 2023 figures were revised to 4.5% from 2.2%. […]
Bundesbank: Employees’ purchasing power is declining, wage increases are small
Workers in Germany are experiencing sharp reductions in their purchasing power, as modest wage increases can not keep pace with record inflation, the central bank said in a report. In its monthly report, the Bundesbank also said that the forthcoming wage negotiations should balance a precarious economic outlook and worries about job losses with persistently […]
Nagel (President of the Bundesbank): Soon after June, the first interest rate increase by the ECB in 10 years
The European Central Bank will soon raise its key interest rate for the first time in more than 10 years, a member of the Board told CNBC. of the central bank of the euro area Member States. “We are on the right track,” said Joachim Nagel, chairman of the German Federal Reserve (Bundesbank) and one […]
Nagel warns that the ECB’s scope for action is narrowing
Bundesbank President Joachim Nagel today urged his colleagues at the European Central Bank to raise interest rates in the face of persistently high inflation. “The window of opportunity for the first monetary policy action is slowly closing and we need to see what we can do this year,” Nagel told a news conference, according to […]
Bundesbank: ECB must remain focused on streamlining monetary policy
German inflation is likely to strengthen further than previous estimates and the ECB should maintain its focus on streamlining monetary policy, said Bundesbank President Joachim Nagel. With inflationary pressures intensifying long before the Russian invasion, the ECB seemed almost certain that it would accelerate its exit from the support program at its March meeting. In […]
Bundesbank: Expects the German economy to shrink this quarter as well
The German economy is likely to shrink again in the current quarter, as a new wave of coronavirus outbreaks prevents many people from going to work, the Bundesbank announced on Monday, predicting a recovery in the spring. Europe’s largest economy followed a negative trend in the last three months of 2021, as its large industrial […]
The ECB could raise interest rates this year, says the new head of the Bundesbank
LAST UPDATE 13:15 The European Central Bank could raise interest rates this year as inflation turns out to be higher than originally estimated, Bundesbank President Joachim Nagel said in an interview with Die Zeit. “If the image [στον πληθωρισμό] “It will not change until March. I will support the normalization of monetary policy,” said Nagel, […]